893.00/8–1145: Telegram

The Ambassador in China (Hurley) to the Secretary of State

1326. Ward reports by telegram August 5 that, according to Tihwa Customs Commissioner, rebel forces captured Tacheng August 1st; Chinese officials, including customs staff, took refuge across Soviet border. Same informant had heard, although from less reliable sources, that Chingho was taken by rebels end of July. Informant expected rebel advance toward Wusu which, informant said, is strongly garrisoned by Chinese troops. (Sent to Department, repeated to Moscow.)

Ward states that, although there is speculation concerning reasons for loss of Tacheng, he considers it probable that as in case of Ining, Tacheng fell to a rebellious native force with which part, if not the majority, of city’s residents were in sympathy.

Ward reports that Chu Shao-liang has been ill for over 2 weeks, probably with beriberi; that Liu Tse-yung has not returned; and that [Soviet Consul?] left for month’s visit to Moscow on July 24.